Accounting Dictionary - Letter E

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Equity securities
represent purchases of outstanding stock (common, preferred, or other) of another company. Companies invest in equity securities to earn investment income and to be able to control another company’s management and board of directors. Equity investments can be current (short-term) or noncurrent (long-term).
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